US Chip Export Controls Branded a 'Failure' for Spurring Chinese Development, Says Nvidia CEO
The Guardian
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- Date Published
- 20 May 2025
- Priority Score
- 2
- Australian
- No
- Created
- 21 May 2025, 07:59 pm
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Comments from Jensen Huang come as Beijing accuses the US of ‘bullying and protectionism’
Summary
The article highlights Nvidia CEO Jensen Huang's remarks at the Computex tech forum, where he criticized US microchip export controls as ineffective in restricting Chinese technological advancement. Instead of hindering progress, the controls have reportedly motivated Chinese firms to accelerate their development in AI capabilities, underscoring China's robust tech ecosystem. The discussion raises crucial points about the global semiconductor market's stability and the geopolitical ramifications of US technology export policies. While this content contributes to the discourse around AI capability advancement and international tech policy, it lacks a direct focus on AI safety or governance related to catastrophic risks.
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Nvidia's CEO Jensen Huang says US microchip export controls have helped Chinese companies accelerate their own development.Photograph: Ann Wang/ReutersView image in fullscreenNvidia's CEO Jensen Huang says US microchip export controls have helped Chinese companies accelerate their own development.Photograph: Ann Wang/ReutersUS chip export controls are a ‘failure’ because they spur Chinese development, Nvidia boss saysComments from Jensen Huang come as Beijing accuses the US of ‘bullying and protectionism’US chip exports controls have been a “failure”, the head ofNvidia, Jensen Huang, told a tech forum on Wednesday, as the Chinese government separately slammed US warnings to other countries against using Chinese tech.Successive US administrationshave imposed restrictionson the sale of hi-tech AI chips to China, in an effort to curb China’s military advancement and protect US dominance of the AI industry. But Huang told the Computex tech forum in Taipei that the controls had instead spurred on Chinese developers.“The local companies are very, very talented and very determined, and the export control gave them the spirit, the energy and the government support to accelerate their development,” Huang told media the Computex tech show in Taipei.“I think, all in all, the export control was a failure.”A journey through the hyper-political world of microchipsRead more“China has a vibrant technology ecosystem, and it’s very important to realise thatChinahas 50% of the world’s AI researchers, and China is incredibly good at software,” Huang said.Nvidia, whichdesigns high-end GPUs, has beenbattered by US chip export controls. Huang said on Wednesday the company had written off “billions of dollars” in sales, and it’s share of China’s AI chip market had fallen from almost 95% at the start of the Biden administration to 50%.Last monthHuang made a surprise visit to Beijing, where he met with the head of the China Council for the Promotion of International Trade, according to Chinese state media, and the DeepSeek founder, Liang Wenfeng, according to the Financial Times.His visit came just days after further US restrictions banned shipments to China of Nvidia’s H20 datacentre GPUs, a lower-powered version of other Nvidia chips which was designed specifically to comply with Biden-era restrictions.The US government told Nvidia the new rules were designed to address the risk that its products might be “used in, or diverted to, a supercomputer in China”.Huang’s Beijing meeting with Liang was to discuss new chip designs for the AI company that would not trigger the new US bans, the FT report said.Last week the Trump administration rescinded some of the existing controls on chip sales to China, after some countries said they were being shut out from crucial technology needed to develop artificial intelligence.But it also unveiled fresh guidelines for other countries, warning companies that using Chinese-made hi-tech AI semiconductors, specifically tech company Huawei’s Ascend chips, could put them in breach of existing US export controls.In response China accused the US of “abusing export controls to suppress and contain China”. The commerce ministry said on Wednesday the warning was “typical unilateral bullying and protectionism, which seriously undermine the stability of the global semiconductor industry chain and supply chain”.It also warned that “any organisation or individual that enforces or assists in enforcing such measures” could be in violation of Chinese law.Explore more on these topicsNvidiaChinaTaiwanAsia PacificnewsShareReuse this content